Published by Dave Kovaleski, Daily Energy Insider
A bill was introduced in the U.S. House of Representatives that would allow solar companies to qualify for a full value Production Tax Credit (PTC).
This tax credit is currently only available for wind and geothermal energy. The bill’s sponsors are pushing for it be included in the budget reconciliation package being considered by Congress. U.S. Rep. Tom Suozzi (D-NY) introduced the bill on Sept. 3, with cosponsors including U.S. Reps. Earl Blumenauer (D-OR), Ron Kind (D-WI), Steven Horsford (D-NV), Dwight Evans (D-PA), Dan Kildee (D-MI), Jimmy Panetta (D-CA), Don Beyer (D-VA), and Nanette Barragan (D-CA)
The bill, H.R. 5175, would incentivize clean energy deployment and create jobs. An analysis by The Rhodium Group found that expanding the PTC to include solar could double the emissions reductions of clean energy tax credits.
“Let’s get this in the reconciliation package so we can help make the United States carbon free by 2035. This legislation makes that goal that much easier to attain,” Suozzi said.
The legislation is supported by several groups including the International Brotherhood of Electrical Workers, Sierra Club, Blue Green Alliance, League of Conservation Voters, and the Citizens Campaign for the Environment.
“To meet our climate goals, the U.S. must begin to deploy more than double the clean power we have in any single year to date. This legislation represents a critical step towards enabling the kind of long-term flexibility between tax incentives that is needed for greater amounts of energy to come online quickly. The Sierra Club commends Representative Suozzi for this forward-looking bill and his leadership on clean energy,” Matt Bearzotti, deputy legislative director at the Sierra Club, said.